Interserve staff ‘left in the lurch’ as fit-out division scaled down

Grant Prior 9 months ago
Share

Interserve is scaling down its Paragon fit-out business.

The Enquirer understands staff at the London based firm entered a redundancy consultation period last month.

It is understood that a raft of senior management have also left with many joining rival ISG.

Remaining staff told the Enquirer they have been “left in the lurch” by their former bosses and parent company Interserve.

One said: “Those of us still here are being left to try and manage failing legacy refurbishment projects with little or no staff.

“We’ve had no communication, no leadership and no clarity from head office.

“Remaining staff are torn between loyalty to the project and personal reputation but there’s zero motivation knowing when your project finishes you’re out.”

Interserve confirmed a “reorganisation and strategy update of its Paragon and London and South East Fit-Out businesses.”

An Interserve spokesman also confirmed “a number of directors have left Paragon.”

He added: “It is wrong to suggest that staff have been ‘left in the lurch’ as colleagues in Paragon continue to receive the full support of the new management team backed by Interserve Construction’s significant resources

“We have engaged extensively with staff on this issue and will continue to do so as we implement the new strategy with a renewed focus on our clients.”

Interserve said: “Following a review process, Interserve will create a more sustainable, manageable and profitable business, narrowing its strategic focus to target attractive risk-adjusted returns in the sectors where it has a market leading customer proposition, combined with the resource and expertise to deliver them profitably.

“As previously announced, Interserve Construction has started to wind down services that are not core to its future offering and remains focused on the successful completion and commercial close out of a small number of underperforming fit-out contracts.

“Interserve will continue to identify opportunities to improve cost efficiency and effectiveness across the fit-out business, in line with the Group’s broader ‘Fit for Growth’ programme, which is already delivering material cost savings and a simpler and more effective business and operating structure.”

Mark Buckle has been confirmed as new Divisional Director for London and the South East while Mark Smith has been appointed as the Commercial Director for the London and South East Fit-Out business.

One subcontractor said: “This management change will be a breath of fresh air and will strengthen the business considerably.”

George Franks, Managing Director, Interserve Construction said: “Under the leadership of Mark Buckle and with a strengthened senior team, Interserve’s Paragon, and London & South East Fit-Out business will be more efficient and have a clearer focus on its core capabilities and service offering to clients.

“We believe that these changes will set the business on the path to future success.”

Interserve pulled-out of the London new build market last year as part of its Fit for Growth programme.

The London construction division became part of the Paragon fit-out business which was headed by then managing director Matt Bray.

Latest news

Summer start for 350-flat Nottingham scheme

9-storey block to be built next to Nottingham station
3 hours ago

Fusion21 names decarbonising framework winners

Sixty eight firms secure places on £250m energy efficiency franework
5 hours ago

Bardsley crashed owing £45m to trade creditors

Manchester builder hit by toxic mix of contractual disputes and project delays
13 hours ago

Bardsley hit sends Anders Glass under

Manchester glass merchant and glazing contractor crashes
14 hours ago

Speller Metcalfe wins £14m Devon leisure centre deal

New Tarka Leisure Centre to offer ‘endless ski slope’
8 hours ago

Green light for UK’s first ‘super slender’ resi tower

Broad Street tower in Birmingham will be less than 10m wide but rise to 37 storeys
1 day ago

Higgins bags £44m job at Shredded Wheat Factory site

Over 200 homes planned for Welwyn Garden City site
1 day ago

Jackson gets go-ahead to start £22m road upgrade

Construction to start this spring after funding agreed for A2300 improvemnets
13 hours ago

Berkeley buys former Civil Service College site

New homes and a retirement village to be built after £50m sale
1 day ago

Bilfinger wins £58m pipework deal at Hinkley Point C

Latest award from EDF at giant nuclear site
1 day ago

£1bn South West Wales framework winners

Andrew Scott and Interserve secure major projects lot for first time
2 days ago

Japanese to build UK’s biggest offsite village

Sekisui House and Urban Splash get green light to build 400-home scheme
2 days ago

Part of Clacton Pier collapses during concrete pour

Part of existing deck falls into sea during structural refurbishment work
2 days ago

Race to start for Government’s first £500m hospital

Bidders Day next month for Leeds General Infirmary expansion
2 days ago

Morrison set for £50m Stirling women’s prison

Galliford Try arm in line for redevelopment of Cornton Vale women’s prison
2 days ago

Pipe fitter hit by 700kg water pump

Worker suffers multiple fractures during accident at east London site
2 days ago

Costain cuts in to take £290m A30 upgrade

Contractor set to build bypass after Taylor Woodrow fails to agree price with Highways England
5 days ago

Aerial platforms collide on rail maintenance site

Investigation launched after accident on tracks in Essex
4 days ago

JCB cuts UK production as coronavirus hits supply chain

A quarter of JCB's component suppliers in China are on shutdown
4 days ago

Manchester Mayfield phase 1 gets green light

Work to start this autumn on new park, two office buildings and major car park
5 days ago

Boost your online presence – join the Enquirer Directory

Site for suppliers and buyers showcases products, services and latest stories
2 years ago

Sisk appoints new northern MD

Alan Rodger replaces Guy Fowler as head of the northern operation
5 days ago

Plan for £100m revamp of Manchester CIS tower

Landmark 31-storey tower refit plan as facade reaches end of design life
5 days ago

Willmott Dixon tipped for £120m Stockport Interchange

Work to start this spring on bus station scheme
5 days ago

Mace to build laser centre

Latest contract win on £81m research complex
5 days ago

Skanska scoops £240m London office job

Work set to start on 420,000 sq ft City office scheme at 20 Ropemaker Street
6 days ago

Chancellor resigns just weeks before the Budget

Sajid Javid quits with Budget due on March 11
5 days ago

Cheaper adjudication to resolve smaller dispute claims

Claims of £50,000 or less will now be worth pursuing
6 days ago

GPE revs up for £600m trio of office projects

Developer preparing to deliver 820,000 sq ft of London projects
6 days ago

Plans unveiled for £260m Digbeth cultural quarter

Over 1,000 flats and a 120-bed hotel planned at Upper Trinity Street scheme
6 days ago

Contractor services